Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #34: official e-File providers like FileLater get 98% acceptance rates.
In a previous post we covered e-file’s popularity. This reason is about the success rate that authorized e-file providers like FileLater have in getting tax extension requests accepted by the IRS.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #33: it’s snowing. Staying in bed all day sounds like a much better idea than doing taxes.
We all have those days when we wake up, look outside, and think about getting right back into bed because it’s snowing (especially if you are in the Mid-Atlantic right now).
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #32: your accountant told you to file a tax extension.
Whether it’s because life is too busy to file taxes on your own or you just have zero interest in learning accounting and/or tax law, you use an accountant to help file your taxes. And just like any other professional that you hire to give you advice (like a lawyer or a financial adviser), you take serious head to when your account gives you a path for getting your taxes done during the stressful period we all know as tax season.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #31: there’s just not enough hours in the day for both Facebook and taxes.
Every day, more than 52 million people in the US login to Facebook. Chances are you are either one of them or know people who use Facebook all the time. That’s the point – no one really uses Facebook lightly. From posting on a friend’s wall to looking at you pal’s photos from their recent vacation, there are plenty of ways to spend lots of time on Facebook. With all of those things to do, who has time for taxes?
Even though the actual tax extension form for individuals or businesses are a lot simpler than your average tax form, taxpayers still have valid questions about how to complete it. This post continues a Tax Extension FAQ series that covers the most common tax and tax extension-related questions and their answers.
Question for today’s post:
Do I have to file a tax return?
Answer:
Here’s exactly what the IRS says, “You must file a tax return if your income is above a certain level. The amount varies depending on filing status, age and the type of income you receive. Check the Individuals section of IRS.gov or consult the instructions for Form 1040, 1040A, or 1040EZ for specific details that may affect your need to file a tax return with the IRS this year.”
If you have any questions about filing a tax extension, please let me know in the comment section below. I’ll do my best to cover it in a future blog post.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #30: a divorce has made your life more complicated tax-wise.
Divorce all by itself is often complicated. When it gets to be tax season, it is usually even more complex. Those that have been recently divorced need to figure out things like filing status, how to classify alimony, and what to do with child support payments.
Of course it’s not impossible to figure out. But like a lot of the reasons we’ve posted so far in out Top 100 list, significant life changes (like divorce) tend to cause enough added complexity that an extra 6 months to file your taxes makes sense.
Whether you are new to IRS extensions or file one every year, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15. An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make a payment could make you subject to tax extension penalties and interest.
Have you ever filed an IRS extension to file taxes for yourself or your business? Thinking about filing one this year? Drop me a note in the comment section below.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Here’s reason #29: a vacation beckons – the best fares for flights are during tax season and you don’t want to miss out on a great deal.
Bottom line: you don’t have to put anything fun like a vacation on hold because you need to get your taxes done. A tax extension gives you freedom in April (or March if you pay corporate taxes). Freedom to not feel stressed out like the rest of us and take that vacation you’ve been putting off forever.
Even though the actual tax extension form for individuals or businesses are a lot simpler than your average tax form, taxpayers still have valid questions about how to complete it. This post continues a Tax Extension FAQ series that covers the most common tax extension-related questions and their answers.
Question for today’s post:
I am self-employed. What kind of tax extension should I file?
Answer:
Great question. This one seems to come up more and more every year, especially nowadays when more people are taking the leap to start their own businesses.
If you are self-employed as a sole proprietor (filing a Schedule C), a contractor (1099), or a single member LLC, you only need file a personal extension (Form 4868) to extend both your personal and business income tax deadline.
If you have another business type, such as an S-Corporation, you will need to extend your business deadline by filing a corporate tax extension (Form 7004).
If you have any questions about filing a tax extension, please let me know in the comment section below. I’ll do my best to cover it in a future blog post.
